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Employee Stock Ownership Plans

Owners of privately held organizations, including those that have an ESOP, face many challenges:

Aligning employees’ goals with those of the company and its shareholders

Selecting a business exit strategy

Financing growth using a tax favored strategy

Compliance with tax code and ERISA requirements applicable to ESOPs and other retirement plans

Mature ESOP company special challenges such as have and have nots or repurchase values

ESOP repurchase liability and 409(p) compliance

Polsinelli assists businesses regarding the benefits and challenges of ESOP sponsorship. With our broad base of ESOP guidance experience, whether you are considering sponsoring an ESOP, looking to create a market for shares of your privately-held company, or are considering acquiring an ESOP-owned company, Polsinelli can provide guidance through the ESOP process with services, including:

Conducting exploratory studies on whether an ESOP is right for your organization, including considerations of your employee population, your tax goals, and shareholder exit strategy

Suggesting alternative plans that offer employee ownership and incentivize company performance if an ESOP is not right for you